Madeleine King stunned by Queensland coal tax lift

Queensland’s Labor government blindsided federal Resources Minister Madeleine King when it decided to overhaul its coal royalty regime.

Federal Resources Minister Madeleine King. Picture: AAP

Queensland’s Labor government blindsided federal Resources Minister Madeleine King when it decided to break an election promise and overhaul its coal royalty regime.

State Treasurer Cameron Dick increased coalmining royalties in his June budget after repeatedly promising no new or increased taxes.

Addressing a resources industry lunch in Brisbane on Thursday, Ms King said she was not consulted by the state before the royalty structure was announced. “The royalties decision … was a surprise to me. I mean, I certainly had no heads up upon it,” she said.

“But … these are decisions state governments have to make.”

In her speech, Ms King noted “concerns” of the coal industry and spoke of the importance of maintaining Australia’s reputation as a “stable, reliable trading partner.”

“I just want to note … concerns by some in the room … regarding the Queensland government’s decision to increase coal royalties; the Australian government has been meeting with international partners regarding domestic gas security mechanism extension and its review,” she said.

“While domestic energy security is at the forefront of our minds, it is equally important to maintain our reputation as a ­stable, reliable trading partner.”